Blackstone, KKR to Take Over Dental Firm After Slashing 70% Debt

Direct lenders including Blackstone Inc. and KKR & Co. are set to take control of struggling dental business Affordable Care and slash about 70% of the debt as part of a restructuring agreement, according to a person familiar with the matter.

Lenders are set to receive a pro-rata share of a $225 million first-lien second-out term loan, $200 million in payment-in-kind notes and 100% of the pro-forma equity, the person familiar said, asking not to be identified discussing private information.

The creditors, who invested in the $1.4 billion private credit loan, are also being offered the opportunity to participate in ...